DRAFT Modes of Contagion in the Banking Panic of 1930 Erik Heit ield
نویسنده
چکیده
Throughout the 1930s bank failures were highly clustered in time and space. This suggests that financial linkages between banks and/or systematic shocks that affected many banks simultaneously played important roles in depression era banking panics. This paper uses a Bayesian hazard rate model of bank suspensions with spatial and network effects to explore modes of contagion during the banking panic of 1930 in Tennessee, Mississippi, and Alabama.
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